What financing options are there for a tennis club that wants to build padel courts?

A tennis club that wants to build padel courts faces a serious financial decision. The investment is considerable, but there are more ways to spread it or have it partly financed than many boards realise. From subsidies and loans to member contributions and smart payback models: there are several routes to a feasible plan.

In this article we answer the most frequently asked questions about financing padel courts for tennis clubs. Whether you are the treasurer, the chairperson or a member of the building committee: after reading this article you will know where you stand and what your next step could be.

How much does it cost to build padel courts for a tennis club?

For an outdoor padel court at a tennis club, you can count on an investment from around € 50,000 per court as a guideline, including foundation and installation. An indoor padel court is cheaper: the guide price is from around € 23,000 per court, turnkey, including cage structure, artificial turf, LED lighting and installation. The exact price always depends on the location, the number of courts and the chosen specification.

For outdoor courts, the foundation is the largest cost item. Depending on the soil conditions and the accessibility of the location, foundation costs average between € 20,000 and € 40,000 per court. Many tennis clubs already have an existing substructure from their tennis courts. In that case, part of the existing foundation can sometimes be reused, which reduces costs considerably.

In addition to the court itself, there are also associated costs you need to take into account:

• Permit costs and, if applicable, an acoustic study
• Sound-absorbing panels if the court is close to residential buildings
• Lighting and, if needed, an electrical connection
• Maintenance and inspection after delivery

For a club that wants to build two outdoor courts, a total budget of € 100,000 to € 150,000 is a realistic starting point for planning. That sounds like a substantial amount, but with the right financing mix it is feasible for many clubs.

Which forms of financing are suitable for a tennis club?

Tennis clubs have access to several forms of financing: subsidies from governments and sports funds, loans through sport-specific funds or banks, member contributions and sponsorship, and sometimes a combination of all these options. The strongest plans combine multiple sources, so that the club does not depend on a single pot of money.

Overview of the most commonly used forms of financing

• Subsidies: from the municipality, province or sports funds such as the Nationaal Sportfonds or the Fonds voor Cultuurparticipatie
• Loans: through the Waarborgfonds Sport, the Rabobank Coöperatiefonds or a regular bank
• Member contributions: one-off contributions, higher membership fees or a member bond
• Sponsorship: local businesses that finance a court in exchange for brand exposure
• Operating income: court rental to non-members as a payback model

Which mix works best depends on the size of your club, the relationship with the municipality and the willingness of members to contribute. A good financing plan always starts with a clear business case: what does it cost, what does it generate and how long will it take before the investment is paid back?

Are subsidies available for padel courts at sports clubs?

Yes, subsidies are available for sports clubs that want to build padel courts. The main sources are municipal sports subsidies, provincial schemes for sports infrastructure and national funds such as the Nationaal Sportfonds. In addition, NOC*NSF supports clubs that invest in sports facilities through its programmes. The availability and amount of subsidies vary greatly per municipality and per year.

Municipal subsidies

Many municipalities have their own sports facility fund or incentive scheme for clubs that want to improve or make their facilities more sustainable. Padel courts score well in such applications because they attract new target groups and increase sports participation. Contact the sports department of your municipality to find out which schemes are available locally.

Nationaal Sportfonds and KNLTB

The Nationaal Sportfonds provides loans and sometimes subsidies to sports clubs for facility projects. The KNLTB, the national tennis association, also has a facilities fund and sometimes offers financial support or advice to tennis clubs that move into padel. It pays to ask the KNLTB about current schemes, because they are adjusted regularly.

Sustainability subsidies

If you opt for energy-efficient LED lighting or a sustainable foundation solution during construction, part of the investment may sometimes qualify for sustainability subsidies. Municipalities and provinces sometimes have separate funds for this. Ask about this when you submit your application, so you don't leave any subsidy on the table.

Can a tennis club take out a loan for sports facilities?

Yes, tennis clubs can take out loans for sports facilities via several routes. The Waarborgfonds Sport is the best-known option: this fund guarantees loans from sports clubs at banks, which means the interest rate is lower than for a regular business loan. In addition, banks such as Rabobank and Triodos offer specific products for non-profit sports organisations.

Waarborgfonds Sport

The Waarborgfonds Sport (WFS) was established to give sports clubs access to affordable financing. Thanks to the WFS guarantee, banks accept a lower risk, which results in more favourable loan terms. Through the WFS, clubs can apply for loans for facility projects, including the construction of padel courts. The application procedure requires a solid business case and a realistic payback plan.

Regular bank loan

A regular bank loan is also possible, but usually more expensive than a loan through the WFS. Banks assess the club's creditworthiness on the basis of the number of members, annual income and the expected operating revenue of the new padel courts. A well-substantiated business case considerably increases the chance of approval.

Municipal loan or leasehold

Some municipalities offer sports clubs the option of leasing land through a long-term leasehold (erfpacht) or taking out a municipal loan for facility improvements. This is particularly relevant if the club is located on municipal land. Ask your municipality whether such a scheme exists.

How can a tennis club finance padel courts through its members?

A tennis club can finance padel courts through its members by means of a temporary increase in membership fees, a one-off voluntary contribution or a member bond. With a member bond, members lend money to the club in return for a small payment or a benefit in kind, such as free court reservations. This model works well if support among members is strong.

Membership fee increase

A temporary increase in the membership fee is the simplest way to raise internal capital. If a club has 300 members and raises the fee by € 50 per year, that generates € 15,000 per year. Over five years, that is € 75,000, which is a serious contribution to the total investment. Communicate the increase transparently and link it directly to the padel project, so members can see where their money is going.

Member bond

A member bond is a loan from members to the club, with a fixed term and a small interest payment or a benefit in kind. Members who invest receive, for example, priority when reserving padel courts or a discount on padel lessons. This model also strengthens involvement in the project, which builds support for the decision.

Crowdfunding

Crowdfunding via platforms such as Voordekunst or Oneplanetcrowd is an option that more and more sports clubs are exploring. The advantage is that, besides members, you can also involve local residents and local entrepreneurs. Some municipalities double crowdfunding contributions for sports projects through a matching scheme, which can raise the proceeds considerably.

What is the payback period of a padel court for a club?

The payback period of a padel court for a tennis club is usually between five and ten years, depending on the number of playing hours, the rental price per hour and the operating costs. The more the court is rented out to non-members and the higher the court rental, the faster the investment is paid back.

How do you calculate the payback period?

A simple calculation: suppose a court is rented out for an average of four hours per day at € 15 per hour, seven days a week. That is € 420 per week, or well over € 21,000 per year. With an investment of € 50,000 per court, the payback period without other income is around two to three years. In practice, usage is lower and there are operating costs, but it gives a good picture of the potential.

Factors that influence the payback period

• Occupancy rate: how many hours per day and per week is the court actually used?
• Rental price: court rental to non-members generates more than internal use by members
• Evening lighting: with good LED lighting you can also sell playing hours after sunset
• Lessons and clinics: padel coaching by the club or an external party increases court occupancy
• Maintenance costs: artificial turf needs maintenance or replacement over time

A realistic payback plan is not only useful for internal decision-making, but also indispensable if you apply for a loan from the Waarborgfonds Sport or a bank. They want to see that the investment is financially sound.

What mistakes do clubs make when financing padel courts?

The most common mistake is underestimating the total investment by looking only at the price of the court itself, without taking into account the foundation, permits, LED lighting and any noise measures. A second common mistake is not investigating available subsidies, which means clubs commit unnecessarily much of their own capital or take out a larger loan than needed.

Mistake 1: Looking only at the lowest price

A cheap court that starts to sink after five years, or where the warranty is not clearly arranged, costs more in the long run than a higher-quality court with a longer lifespan. When comparing quotes, look not only at the price, but also at the warranty conditions, the quality of the materials used and whether all components are certified by Kiwa ISA Sport. In the Netherlands, this certification is mandatory for artificial turf padel floors used in official matches.

Mistake 2: Not accounting for permit costs and lead time

An environmental permit for an outdoor padel court takes time and money. Count on an average lead time of eight to twelve weeks and make sure your budget also covers the costs of an acoustic study and structural calculations. Anyone who fails to plan for this risks project delays or a budget shortfall.

Mistake 3: Creating too little support among members

A padel project that is pushed through without input from members will meet resistance. Involve members early in the process, communicate openly about the costs and the financing structure, and show what the project will deliver for the club. Support also makes it easier to ask members to contribute financially through a bond or a membership fee increase.

Mistake 4: Not drawing up a business case

Without a clear business case, you don't know whether the investment is financially sound, and you won't get a loan either. Calculate the expected income from court rental, lessons and events, set it against the investment and the annual operating costs, and determine the payback period. That document is the basis for every conversation with a bank, municipality or subsidy provider.

At I-Padel, we help clubs not only with building padel courts, but also with thinking through the feasibility of a project. We deliver building padel courts as a complete turnkey package, including tailored advice for each location. We are happy to think along with you, without obligation, about the possibilities for your club.

Frequently asked questions